Well.
No dynamic shadows. Water that is basically standard since when? 2002? Mediocre textures, low detail and few vegetation.
Alan Wake hat lots of shaderheavy effects back then. As well as lots of particle effects etc.
Hell. Objects in Fatal Frame 5 dont even cast shadows from flashlight etc. Even Zombi U has way better dynamic lighting. The little bit of smoke looks like early 2000s texture effcts.
Nope. Artdesign is okay. But from the technical side Fatal Frame is pretty cheap.